Trump expected to ease 50% tariffs on some Canadian goods in bid to help Susan Collins, WSJ reports

The Trump administration is expected to remove 50 per cent tariffs on some Canadian products, in a bid to help Senator Susan Collins (R-Maine) and other Republicans in the Nov 3 midterm elections, The Wall Street Journal reported on Friday.

A proclamation altering the tariffs could come as early as Friday, according to the report, though the scope and timing could still change — and the reductions could be offset by raising levies on other Canadian goods.

The expected exemptions cover products used in agriculture and forestry, including certain agricultural machinery, refrigeration equipment and packaging products. Collins’s own statement detailed nine categories of exemptions, including paper, plastic, machinery and seaweed products.

“I have asked for tariff relief for these important products and stressed the burdens additional costs impose on Maine businesses and families,” Collins said in her statement, as reported by the WSJ.

Collins has broken with President Trump over tariffs, and the trade war has become central to her re-election contest. Her Democratic challenger, Troy Jackson, has made the issue a centrepiece of his campaign, with polls neck-and-neck in the final week before Election Day.

A White House official cautioned that any tariff announcements would come directly from the administration and that preliminary reporting was speculation. The US Trade Representative’s office declined to comment.

The 50 per cent tariffs took effect in late August on roughly $20 billion of Canadian goods — about 5 per cent of Canada’s exports to the US — after trade talks broke down. Canada retaliated, and Trump has threatened to double duties on Canadian vehicles in January if no deal is reached. A September adjustment exempted road salt and cement.

Speaking to reporters on Friday morning, Trump said Canada was working hard on a trade deal, adding “we have all the cards”. Prime Minister Mark Carney said Canada could sign a deal “this afternoon” if Washington were ready; the two leaders spoke on Wednesday.

Sources: The Wall Street Journal (via https://news.bloomberglaw.com/international-trade/trump-to-lower-some-canada-tariffs-maine-senator-collins-says); Bloomberg; Newsmax; CTV News; Senator Susan Collins statement.